Albion Distributors' Revenues and Expenses for the Fiscal Year Just

Essay

Albion Distributors' revenues and expenses for the fiscal year just completed were $2,347,000 and $2,189,000, respectively.
a) If in the current year revenues rise by 10% but expense increases are held to 5%, what will be the percent increase in operating profit?
b) If, instead, revenues decline by 10% and expenses are reduced by 5%, what will be the percent change in operating profit?